Question

From the following information you are asked to calculate the *gross profit and * gross purchase.
Net sales =2,00,000
Opening stock =32000
Purchase return =12000
Wages=3000
Closing stock =14000
Rent =1000
Gross profit is 25% on cost

Answer 1

Answer:

Gprofit = 40000

Gpurchase = 140000

Explanation:

Let Cost be x.

200000 - x = x/4

5x/4 = 200000

x = 160000

GP = 40000

GP = Sales + CS + P.R. - OS - D. E. - Purchase

40000= 180000 - P

P= 140000